Just over half (52%) of the public globally believe companies and brands are “greenwashing their sustainability initiatives”.

This level of scepticism is up on last year’s figures, when a third of the public questioned environmental claims made by firms.

Generation Z, aged between 18 and 24, are the most sceptical. More than three quarters of this age group believe organisations are guilty of greenwashing, up from half last year.

Two thirds of millennials, aged between 25 and 40, distrust companies’ green claims, compared to 45% last year.

Almost two in five baby boomers, aged above 57, are concerned about greenwashing, compared to less than one in give last year.

The rise in scepticism of green claims among the public is an increasing concern of company executives.

More than three in five say they are concerned about their company’s sustainability efforts “might appear insincere to the public”. This is up on last year when only one in ten thought this was a concern.

Meanwhile, more than two in five say the public believes their firm is greenwashing, up from around one in five last year.

The findings have been published in a report by the Capgemini Research Institute (CRI). This involved surveys with 2,152 executives from 727 companies across 13 countries.

Also surveyed were 6,500 consumers from the same 13 countries.

“Our findings reveal that organizations are struggling to convince consumers of their progress,” states CRI’s report, A World In Balance 2024.

“Despite corporate awareness of greenwashing, consumers are increasingly sceptical and distrustful of their claims

A failure to act on consumers’ concerns around greenwashing could prove costly for businesses, CRI warns.

“Organisations risk loss of credibility from negative press coverage, diminished brand status, and a subsequent business impact," it says.

“Our research reveals that, of those consumers who never, rarely, or only sometimes trust an environmental claim, 53% will not purchase a product they have doubts about.”

CRI also found that almost two in five consumers will tell their family and friends if they do not trust a company or brand.

Its report adds: “Transparency and accountability are crucial to rebuilding trust.”

Additionally, CRI’s report points out that “a tightening of regulation has led to further cases being uncovered, driving public and media awareness”.

It details that in 2023 there was a 70% increase in greenwashing cases, “specifically within the banking and financial sector, with European financial institutions as the primary culprits”.

---